Legal Question in Wills and Trusts in Illinois

Based on the facts described in your inquiry, the designation of beneficiaries included in your father's life insurance determines which persons are entitled to the proceeds. It is unlikely the provisions in the order of dissolution, his divorce, will control the distribution of the life insurance benefits. Such insurance benefits are distributed apart from his estate property which would be distributed by a last will or trust, or laws of intestacy. It is assumed that the divorce was final before he passed away. However, one must review the divorce order, any will or trust, as well as the life insurance provisions to resolve the issues.

The precise terms of the marital settlement agreement need to be analyzed to give a reasoned answer. The insurance designation generally controls, but it's possible that the divorce decree could alter the result. If so, it may be advisable to put the insurance company on notice prior to them paying out. You should consider retaining counsel to analyze the situation ASAP.